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When a flip-flopper is a statesman; plus more tax news

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* Editorial writers are easily predictable. If politicians change their minds and move away from an editorial board’s position, they’re “flip-floppers.” But when politicians flip-flop in the direction of an editorial writer, they’re “statesmen.”

From today’s Post-Dispatch editorial

The best, most politically do-able alternative is the so-called tax swap, a plan that has been bouncing around Springfield for years. It combines a rise in corporate and personal income taxes with a smaller cut in property taxes.

Such a plan faces two problems, and the first is Mr. Blagojevich himself. He’s promised through two gubernatorial campaigns not to raise personal income or sales taxes. Mr. Blagojevich has ambitions beyond the governor’s mansion and reneging on a “read-my-lips” pledge would cost lots of votes. In other words, it would take real courage.

Wrong. The governor ran twice on this issue. He has sworn up and down more times than I can count that he would veto any such tax increase. He ought to be expected to keep promises like that.

How many times have we seen editorial writers chastise Blagojevich for not following through on his original campaign pledge to “change business as usual”? He didn’t even run on that pledge the last time, yet they still throw it in his face every chance they get. He did, however, run again on a platform of opposition to income and sales tax hikes. He should be encouraged to remain honest about that, instead of enticed into breaking his solemn vows.

* The governor has said lately that he won’t sign an income or sales tax hike during a time when gas prices could reach “$5 a gallon.” Eric Krol points out the obvious: The governor’s GRT proposal would likely raise gas prices…

Fleischli estimated that when gas was at $2.69 a gallon, Blagojevich’s business tax meant the price would go up seven cents a gallon. The amount only increases as the cost of gas does.

Go read the whole thing. There’s a pretty brutal back and forth with a Blagojevich aide.

* As I told subscribers this morning, A+ Illinois has a new radio ad. Listen below…

[audio:A+Illinois5_15.mp3]

* Tom Kacich of the Champaign News-Gazette has a question in the wake of the House’s rejection of the GRT…

How does he reassert himself over a Legislature that has has made him, for now, irrelevant?

Answer: The man with the veto pen and the power to call special sessions is never completely irrelevant.

* More GRT stories, compiled by Paul…

* YDD outlines tax alternatives

* Rejection of tax plan means hard decisions

* Zorn: Is Blagojevich man with plan, or just clueless?

* Editorial: A program for every need across the nation

posted by Rich Miller
Tuesday, May 15, 07 @ 8:42 am

Comments

  1. I think the frustration with the Governor is that he said he wouldn’t raise the sales or income tax because he didn’t want to raise taxes on “working families.”

    Even Senate President Emil Jones admitted that the GRT would be passed on to consumers eventually. And as Capitolfax pointed out, earlier polling shows that voters already believe that the GRT was a violation of the Governor’s pledge. The only difference is that it would be far less transparent.

    The Governor is clinging desperately to an empty slogan.

    Dan Johnson-Weinberger makes a good point yesterday. The Governor could raise the income tax without raising taxes on “working families” if he also raises the standard deduction from its current level of $2,000 - a paltry tax savings of $60. Raising the standard deduction to $6000, $8,000 or even $10,000 while increasing the tax rate to 5% would protect the paychecks of working families.

    Comment by Yellow Dog Democrat Tuesday, May 15, 07 @ 8:53 am

  2. So the GRT would raise the price of gas by 7 cents per gallon, yet Doug Whitley has suggested an increase in the gas tax of 10 to 15 cents to pay for roads. How do you think people would respond to that type of proposal from the governor.

    Doug Whitley — visionary.

    Comment by Buck Naked Tuesday, May 15, 07 @ 8:57 am

  3. If the motor fuel tax were still used for roads, you wouldn’t have to increase the gas tax to pay for roads. The governor will be irrelevant if Jones/Madigan/Cross can agree on a plan.

    Comment by leigh Tuesday, May 15, 07 @ 9:05 am

  4. The Governor will not renege on his pledge to the voters to not raise sales or income taxes. If they can possibly get veto proof legislation passed in the house it will be the Speaker and some republicans that will answer to the citizens. Governor Blagojevich is willing to work with the leaders on a compromise budget. It is the leaders, one in particular, that are being obstructionist.

    Comment by Bill Tuesday, May 15, 07 @ 9:44 am

  5. Zorn wrote exactly what was on my mind all along. I think the GRT is a ruse to get legislators behind a less objectionable tax hike. This gives Rod political cover to renege on his promise not to raise income/sales taxes. For better or worse the GRT proposal has shifted the debate from whether we need a tax increase into which tax increase we should implement.

    Comment by Tom Tuesday, May 15, 07 @ 9:50 am

  6. Bill - Last week during the GRT hearing, it didn’t sound like the Governor really wanted to discuss a compromise budget. He came across as “my way or the highway”. Is he now singing a different tune? Is he willing to drop the massive healthcare plan that only a handful of people in this state support? Is he willing to stay in Springfield to actually negotiate, or will he jet back to Chicago to hold more press events instead?

    Comment by Bluefish Tuesday, May 15, 07 @ 9:53 am

  7. So Rod didn’t run on the pledge to change business as usuallast time. So what are you saying ? Now corruption is OK since it wasn’t on his agenda with the last campaign ?

    Comment by Lula May Tuesday, May 15, 07 @ 10:00 am

  8. “Lula May,” don’t twist my words. What I wrote is what I wrote.

    Comment by Rich Miller Tuesday, May 15, 07 @ 10:07 am

  9. Bill- I am going to go out on a limb here and assume the leader that is being an obstructionist is Madigan? In my humble opinion he is the only one listening to the people of this state so I say obstruct away!

    Comment by leigh Tuesday, May 15, 07 @ 10:23 am

  10. Bluefish,
    Many more than “a handful” of citizens want health care for all Illinois citizens. The fact that you don’t probably means you get insurance realtively free from someone.If you are a state employee the taxpayers are already paying for yours.
    The governor has indicated his willingness to compromise and has, in fact, done so already. When a Legislative leader refuses to return the Governor’s calls it is the “leader” who is being recalcitrant and obstructionist, not the Governor. Madigan spends as much, if not more, time in Chicago than Rod during the session. Maybe they could get together for a Cubs game.

    Comment by Bill Tuesday, May 15, 07 @ 10:24 am

  11. Leigh,
    Wait until your hero rams through some kind of tax “swap” at the last minute. Then you really will want to move your business out of state.

    Comment by Bill Tuesday, May 15, 07 @ 10:27 am

  12. Bill wrote: “Madigan spends as much, if not more, time in Chicago than Rod during the session.”

    I know you are given to overblown statements, Bill, but that’s the biggest whopper you’ve ever told. The governor has been to the Statehouse twice in the past two months.

    Comment by Rich Miller Tuesday, May 15, 07 @ 10:27 am

  13. Rich, I guess I don’t see the Krol-Carroll exchange as “brutal” at all, unless the sclae used to measure has changed a lot in the last 3 or 4 years.

    Comment by steve schnorf Tuesday, May 15, 07 @ 10:28 am

  14. Rich,
    How many times in the past two months have you seen the Speaker actually on the floor?

    Comment by Bill Tuesday, May 15, 07 @ 10:29 am

  15. Bill, he was on the floor during the GRT resolution. The governor, on the other hand, was in Chicago during that debate.

    Madigan, like other speakers before him, spends a lot of time in his office, but he is in Spfld. Move on from your ridiculous premise. You lost that debate.

    Comment by Rich Miller Tuesday, May 15, 07 @ 10:36 am

  16. I wouldn’t exactly call it a “debate” but OK.

    Comment by Bill Tuesday, May 15, 07 @ 10:40 am

  17. Bill-Madigan is not even close to my hero and I am not even close to being a “democrat”, but he does seem to be listening to the public. At least publicly he has not made any “my way or the highway” statements, or called people who own businesses every name in the book except that which they are, employers.

    Comment by leigh Tuesday, May 15, 07 @ 10:56 am

  18. By the way, Rich, I agree with your premise. He ain’t going to change his mind.

    Comment by steve schnorf Tuesday, May 15, 07 @ 10:57 am

  19. Steve, it’s not all about whether he will or won’t change his mind (he won’t), it’s that if we value the ideal that politicians ought to keep their campaign promises, then he shouldn’t change his mind.

    Comment by Rich Miller Tuesday, May 15, 07 @ 11:03 am

  20. I would argue that they shouldn’t make promises, esp during a first campaign for statewide office, since they almost certainly don’t know what they are talking about.

    Comment by steve schnorf Tuesday, May 15, 07 @ 12:23 pm

  21. It does not matter what anyone in this state thinks because Blago, Madigan and Jones and their families just laugh on their way to the bank.

    Comment by i d Tuesday, May 15, 07 @ 12:29 pm

  22. “If you can’t change your mind, I guess maybe it means you don’t have one.” - State Rep. Jim Sacia

    I sure am glad that FDR changed his mind about getting involved in “Europe’s War”.

    Pretty glad that Nixon changed his mind about Vietnam.

    Wish George W. Bush would change his mind about Iraq.

    Only the worst of leaders refuses to change course when the facts on the ground change. The fact is that the governor has floated two different plans for funding education - leasing the lottery and the GRT - and both have been soundly rejected by the legislature.

    When what you’re doing isn’t working, it doesn’t make sense to do it harder, but that seems to be the Governor’s strategy.

    Comment by Yellow Dog Democrat Tuesday, May 15, 07 @ 1:10 pm

  23. YDD, the future of the world is not dependent upon Rod Blagojevich supporting an income/sales tax hike and a new service tax.

    Comment by Rich Miller Tuesday, May 15, 07 @ 1:14 pm

  24. True, Rich.

    I sure am glad that George Ryan changed his mind about the Death Penalty.

    A better example?

    Comment by Yellow Dog Democrat Tuesday, May 15, 07 @ 1:57 pm

  25. It sure seems the Income Tax, Sales Tax, Property Tax, and the GRT are all unpopular to a greater or lesser degree depending on to whom you are talking. The oponents all seem to be concerned about fairness, regressivity, failure to tap the rich or corporations etc. Special interest loopholes, minimum alternative tax - All these permutations seem to go on ad nauseum. It is now time to have an indepth review of the full spectrum of taxing and fees systems so complexly interwoven into our state and local governments. I would suggest the legislature, with the cooperation of the executive branch task a carefully selected group of nonpartisan knowledgeable folks from various areas, higher ed, government, professional accounting, the judiciary, etc. The targetted outcome should be to come up not only with what should the taxes pay for but where and how they should be collected. Maybe a flat tax would result, maybe not. But a clear charge to the task group as to fairness and sufficiency must be provided.

    Comment by A Citizen Tuesday, May 15, 07 @ 3:48 pm

  26. I’d like to think the Governor has a plan, but he will prove himself to be totally clueless if he vetoes a responsible aternative to his GRT. So far I have concluded that he is a brilliant poltical campaigner who has been unable to make the transition from campaigning to governing.

    Comment by Captain America Tuesday, May 15, 07 @ 6:49 pm

  27. Read Zorn’s column. He’s dead on target in describing what’s gone on to date and what needs to happen.

    The Governor has lost all credibility.

    Comment by El Conquistador Tuesday, May 15, 07 @ 7:14 pm

  28. El Conquistador - With all due respect, to many of us The gov never has had credibility other than as a campaigning politician with no intent of meeting his campaign promises - He has proven himself a prevaricator - how many MOA do we need?

    Comment by A Citizen Tuesday, May 15, 07 @ 8:22 pm

  29. A true leader is able to say that (s)he made a mistake and own up to the fact that something needs to be changed.

    POA’s remark about the GRT vote that it was a good day and he felt good about it demonstrates to me that he is not a leader nor can he admit a mistake.

    Just because POA can veto a bill and call special sessions does not make him relevant. The GA can override what ever he does provided it is a united body. So what is POA calls a special session?

    Comment by Huh? Tuesday, May 15, 07 @ 8:46 pm

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